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2017 Supreme(J&K) 43

IN THE HIGH COURT OF JAMMU AND KASHMIR AT JAMMU
ALI MOHAMMAD MAGREY, J.
Sandya Devi & ors. – Appellant
Vs.
State of J&K & ors. – Respondent
OWP no.822 of 2005, With MP nos. 330 of 2011, 1586 of 2011, 1834 of 2011, 1854 of 2011, 395 of 2012, 428 of 2012, 431 of 2012, 505 of 2012, 1682 of 2012, 1920 of 2012, 2301 of 2012, 2311 of 2012, 2395 of 2012, 2477 of 2012, 633 of 2013, 2 of 2016, 3 of 2016, 4 of 2016, 7 of 2016, 8 of 2016, 9 of 2016, 10 of 2016. OWP no. 524 of 2005 with MP no.684 of 2005, OWP no.536 of 2005 with MP no.703 of 2005, OWP no. 802 of 2005 with MP no.371 of 2008; OWP no.817 of 2005 with MP no.376 of 2008, OWP no.826 of 2005 with MP nos. 329 of 2008, 379 of 2008 & 427 of 2012, OWP no.827 of 2005 with MP no. 216 of 2007, 319 of 2008, 373 of 2008, 396 of 2012, 512 of 2012, OWP no.835 of 2005 with MP nos. 271 of 2007, 318 of 2008, 372 of 2008, 361 of 2011, 397 of 2012, OWP no.326 of 2006 with MP no.422 of 2006, OWP no. 972 of 2006 with MP no.1322 of 2006 and OWP no.137 of 2010 with MP no.171 of 2010.
Decided on : 06-02-2017

Advocate Appeared:
For the Petitioners:Mr. Z. A. Shah, Sr. Advocate, with Mr. Vipin Gandotra, Advocate, Mr. R. K. Gupta, Sr. Advocate, with Mr. Riteesh Mahajan, adv, Mr. Abhinav Sharma, Advocate, Mr. S. K. Shukla, Advocate.
For the Respondents:Mr. J. I. Ganai, Advocate General, with Mr. Ehsan Mirza, Dy. AG; and Mr. Faraz Iqbal, Dy. AG, Mr. Pranav Kohli, Ms. Meenakshi Salathia, Mr. Sachin Dogra, Mr. W. S. Nargal, Mr. Ravi Abrol, Mohd Shaqir Hussain and Mr. C. S. Azad, Advocates.

The main legal point established in the judgment is the need for the official respondents to review the Excise Policy and undertake a denovo exercise to identify the locations for continuing or opening of retail vends in accordance with any such policy as may be adopted.

Headnote:

Liquor Licenses - Jammu and Kashmir Excise Act, 1958 and J&K Liquor Licence & Sales Rules, 1984 - 25.06.2006 notice issued by the Excise Commissioner - 14.12.2005 notice for cancellation of temporary license - 30.04.2009 Supreme Court order - 31.03.2017 fresh licenses

Fact of the Case:

The case involves eleven writ petitions related to licenses for retail sale of Indian Made Foreign Liquor (IMFL) in Jammu and Kashmir. The petitioners challenged the legality of the action of the official respondents to cancel the temporary licenses and/or notice dated 14.12.2005 issued by the Excise Commissioner. The matter also involved the Supreme Court's order on 30.04.2009 and the subsequent need for the official respondents to review the Excise Policy.

Finding of the Court:

The Court concluded that the temporary licenses were essentially operable only for one year, and any discussion on the legality of the impugned notices issued to the petitioners would have only academic value. The Court disposed of all the writ petitions with liberty to the State respondents to review its Excise Policy and undertake a denovo exercise to identify the locations for continuing or opening of retail vends in accordance with any such policy as may be adopted.

Issues: The principal issue was the legality of the action of the official respondents to cancel the temporary licenses and/or notice dated 14.12.2005 issued by the Excise Commissioner. The Court also addressed the need for the official respondents to review the Excise Policy.

Ratio Decidendi: The Court concluded that any discussion on the legality of the impugned notices issued to the petitioners would have only academic value, and it would be just and appropriate to dispose of all the writ petitions with liberty to the State respondents to review its Excise Policy and undertake a denovo exercise to identify the locations for continuing or opening of retail vends in accordance with any such policy as may be adopted.

Final Decision: The Court disposed of all the writ petitions with liberty to the State respondents to review its Excise Policy and undertake a denovo exercise to identify the locations for continuing or opening of retail vends in accordance with any such policy as may be adopted. The official respondents were directed to complete the requisite exercise by 31.03.2017 and issue fresh licenses to the selectees for the year 2017-2018 operative with effect from 01.04.2017.

1. These eleven writ petitions relate to licences for retail sale of Indian Made Foreign Liquor (IMFL), popularly termed as JKEL-2 license, and I wish to commence this judgment recording my conviction about the universal truth that gross loss of unimaginable magnitude in intoxicants overweighs the little benefits in them, and that there cannot be any good in something that covers minds, induces ruin in the biological beings and economy of a people, and reduces most of the consumers to abject penury.

2. In four of these petitions – OWP nos.822/2005, 826/2005, 827/2005 & 835/2005 – the petitioners challenge communications dated 14.12.2005, styled as ‘notice for cancellation of temporary licence’ addressed to them by the Excise Commissioner; in the other four writ petitions – OWP nos. 802/2005, 817/2005, 972/2006 and 137/2010 – mostly, the very same petitioners seek, inter alia, regularisation of the temporary licenses issued in their favour by the competent authority by draw of lots after they were subjected to the procedure formulated by the respondents; in writ petition, OWP no.326/2006, the petitioner has challenged Government order no.668-STS of 2005 dated 30.12.2005 insofar as the same directs opening of sub-vends at Palma Mendhar, Gujroo, Nagrota, and, at the same time, has raised his grievance against grant of licenses in favour of the private respondents 3 to 5 therein for sale of liquor as a sub-vendees and prayed or issue of command to the respondents to allot the sub-vends in his favour; in OWP no.536/2005, the petitioner therein is aggrieved of an order issued by Excise Commissioner debarring the petitioner – a women of 45 years of age – from obtaining the off-license for retail sale of IMFL; in OWP no.524/2005, the petitioner is aggrieved of selection of respondents 3 for allotment of license in his favour and of placement of respondent no.4 in the waitlist. In all these petitions, the petitioners have also prayed for other and/or consequential reliefs.

3. I heard learned counsel for the parties and considered the matter.

4. The grievance of the petitioners in these writ petitions, barring OWP no.524/2005, OWP no.536/2005 and OWP no.326/2006, mostly seems to be surrounding the legality or otherwise of the action of the official respondents to cancel the temporary licenses and/or notice dated 14.12.2005 issued by the Excise Commissioner in his capacity as the Licensing Authority, but there is something more to be dealt with, in that in the lead case, OWP no.822/2005, private respondents 4 to 53 have been impleaded as such in terms of orders dated 03.06.2011 and 18.08.2011 passed in various CMPs moved by the these respondents in that behalf after they were allowed to do so by the Supreme Court. The matter, therefore, calls for a resume of its genesis of the controversy and of the circumstances in which the above private respondents had been allowed to seek impleadment in these writ petitions as also of their case. The backdrop of facts of the matter is elaborately drawn by a Division Bench of this Court in its judgment in State of J&K v Vikas Jandial, 2005(2) JKJ 451. In fact, private respondents 4 to 53 impleaded in OWP no.822/2005 had gone to the Supreme Court feeling aggrieved of the judgment of the Division Bench of this Court in the aforesaid case. The petitioners in OWP no.822/2005 have also stated these facts in their writ petition. Therefore, I feel that narration of some of these background facts from the said judgment herein becomes imperative, and I lift such facts from the aforesaid judgment and proceed to reproduce them hereunder.

5. The trade of liquor and intoxicating drugs in the State is governed by the Jammu and Kashmir Excise Act, 1958 and the Rules, known as J&K Liquor Licence & Sales Rules, 1984. Earlier, there was a dual system adopted by the State to regulate the trade of liquor: the Indian Ma






















































































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